Nvidia has solidified its position as the most valuable company in the world by becoming the first to reach a $4 trillion market cap. The landmark comes as the chipmaker continues to dominate the generative artificial intelligence boom with its industry-defining graphics processing units.
This is a wake-up call for investors to take AI seriously and to use it more strategically. “It tells us that AI is the defining economic engine of our time, and it needs to be present in every serious investor’s portfolio.” – Nigel Green.
Nvidia first surpassed the $1 trillion mark in 2023 and has seen exponential growth since then, rising from $2 trillion in February 2024 to $3 trillion in June 2024, and now $4 trillion. This is largely due to its high-performance AI chips, which power almost everything from language models like ChatGPT to AI servers used by the world’s largest cloud providers, such as Microsoft and AWS.
While AI is expanding fast, it is not prudent to focus just on one meteoric company. The broader ecosystem encompasses AI infrastructure, enterprise software, automation, cybersecurity, robotics, and next-generation data and memory firms.
“AI needs to be a part of every portfolio, but that doesn’t mean just buying the most obvious names. Investors should be thinking about who supports, scales, distributes, and applies the technology. This is where much of the next wave of value creation will likely occur.”
Always ensure that an investment portfolio is diversified across multiple asset classes, geographical regions and sectors to mitigate risk. If you’re unsure about where to invest, consider consulting a financial advisor for guidance.
Watch Nigel’s video here.
Tiny aquatic creatures have been fighting global warming for years. Zooplankton gorge themselves and grow fat in spring and then go on an epic migration to sink hundreds of metres into the Antarctic ocean, where they burn fat.
These ‘unsung environmental hero’ creatures are responsible for locking away planet-warming carbon equivalent to 55 million petrol cars, preventing further atmospheric warming.
Globally, the oceans have absorbed approximately 90% of the excess heat generated by human activities, primarily through the burning of fossil fuels. Of that figure, the Southern Ocean is responsible for approximately 40%, with a significant portion attributed to zooplankton.
The zooplankton stores carbon in its fat and migrates deep into the Southern Ocean, where it lives off its fat storage while releasing carbon that gets trapped under the ocean. Some 65 million tonnes of carbon annually, which takes centuries to return to the surface.
Researchers have calculated that warming waters, climate change, disturbances to ocean layers, extreme weather and commercial harvesting could threaten zooplankton. The biological pump, as scientists refer to this carbon transfer, reduces carbon in the atmosphere by approximately half.
This emphasises the importance of sustainable investing and its global impact. Save the seas and save the planet.
Please note, the above is for educational purposes only and does not constitute advice. You should always contact your adviser for a personal consultation.
* No liability can be accepted for any actions taken or refrained from being taken, as a result of reading the above.